Correlation Between Brixmor Property and CapitaLand Integrated
Can any of the company-specific risk be diversified away by investing in both Brixmor Property and CapitaLand Integrated at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Brixmor Property and CapitaLand Integrated into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Brixmor Property and CapitaLand Integrated Commercial, you can compare the effects of market volatilities on Brixmor Property and CapitaLand Integrated and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Brixmor Property with a short position of CapitaLand Integrated. Check out your portfolio center. Please also check ongoing floating volatility patterns of Brixmor Property and CapitaLand Integrated.
Diversification Opportunities for Brixmor Property and CapitaLand Integrated
-0.79 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Brixmor and CapitaLand is -0.79. Overlapping area represents the amount of risk that can be diversified away by holding Brixmor Property and CapitaLand Integrated Commerci in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CapitaLand Integrated and Brixmor Property is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Brixmor Property are associated (or correlated) with CapitaLand Integrated. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CapitaLand Integrated has no effect on the direction of Brixmor Property i.e., Brixmor Property and CapitaLand Integrated go up and down completely randomly.
Pair Corralation between Brixmor Property and CapitaLand Integrated
Considering the 90-day investment horizon Brixmor Property is expected to generate 0.25 times more return on investment than CapitaLand Integrated. However, Brixmor Property is 3.96 times less risky than CapitaLand Integrated. It trades about 0.18 of its potential returns per unit of risk. CapitaLand Integrated Commercial is currently generating about -0.02 per unit of risk. If you would invest 2,691 in Brixmor Property on September 6, 2024 and sell it today you would earn a total of 302.00 from holding Brixmor Property or generate 11.22% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Moves Against |
Strength | Weak |
Accuracy | 98.44% |
Values | Daily Returns |
Brixmor Property vs. CapitaLand Integrated Commerci
Performance |
Timeline |
Brixmor Property |
CapitaLand Integrated |
Brixmor Property and CapitaLand Integrated Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Brixmor Property and CapitaLand Integrated
The main advantage of trading using opposite Brixmor Property and CapitaLand Integrated positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Brixmor Property position performs unexpectedly, CapitaLand Integrated can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in CapitaLand Integrated will offset losses from the drop in CapitaLand Integrated's long position.Brixmor Property vs. Saul Centers | Brixmor Property vs. Site Centers Corp | Brixmor Property vs. Kite Realty Group | Brixmor Property vs. Retail Opportunity Investments |
CapitaLand Integrated vs. Regency Centers | CapitaLand Integrated vs. Getty Realty | CapitaLand Integrated vs. Site Centers Corp | CapitaLand Integrated vs. Brixmor Property |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Portfolio Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Other Complementary Tools
FinTech Suite Use AI to screen and filter profitable investment opportunities | |
Bonds Directory Find actively traded corporate debentures issued by US companies | |
Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets |